Research on venture capital mechanism of Chinese defense science and technology

The Chinese national defense science and technology industry is short of diversified investment subjects. In response to the economic strategy of China, there is severe contradiction between the disadvantage of unitary investment and the increasingly rising needs of military high technology. To solve the structural imbalance of the venture capital system, it is an essential part to set up verified subjects of investments in national defense science and technology through industrial reform. The advanced experiences of USA and Israel in the venture capital industry were used for reference, and compared to Chinese ones. A new investing mode was presented, the venture capital funds of the national defense science and technology was set up based on the present situation. The building and operation of this new mode was discussed. A whole new prospect on investment problems was provided.